ICI: Mutual fund assets drop $70B in May

The combined assets of the nation’s mutual funds decreased by $70.7 billion, or 0.6 percent, to $12.403 trillion in May, according to the Investment Company Institute’s official survey of the mutual fund industry. In the survey, mutual fund companies report actual assets, sales, and redemptions to ICI.

Highlights

Long-term funds—stock, bond, and hybrid funds—had a net inflow of $17.57 billion in May, vs. an inflow of $24.07 billion in April.

Stock funds posted an outflow of $5.03 billion in May, compared with an inflow of $6.78 billion in April. Among stock funds, world equity funds (U.S. funds that invest primarily overseas) posted an inflow of $2.08 billion in May, vs. an inflow of $3.95 billion in April. Funds that invest primarily in the U.S. had an outflow of $7.12 billion in May, vs. an inflow of $2.83 billion in April.

Hybrid funds posted an inflow of $3.04 billion in May, compared with an inflow of $4.12 billion in April.

Bond funds had an inflow of $19.56 billion in May, compared with an inflow of $13.15 billion in April. Taxable bond funds had an inflow of $19.59 billion in May, vs. an inflow of $16.87 billion in April. Municipal bond funds had an outflow of $30 million in May, compared with an outflow of $3.72 billion in April.

Money market funds had an outflow of $2.74 billion in May, compared with an outflow of $3.20 billion in April. Funds offered primarily to institutions had an outflow of $6.05 billion. Funds offered primarily to individuals had an inflow of $3.30 billion.

The parent company of United Airlines and Continental Airlines said Wednesday that Continental has reached a labor agreement with representatives of some 7,200 non-union employees who work as reservation agents and in other passenger-service roles.